The University of Georgia's new medical school could infuse more than $2 billion into the state's economy by 2040, a new analysis shows.
The university shared plans in February to create an independent medical school in Athens, though a timeline for its opening is unclear. The move represents a significant step to boost the physician workforce in Georgia, which is ranked No. 40 in the U.S. for the number of active physicians per capita, according to the Association of American Medical Colleges.
Healthcare improvements, research expansion and job creation associated with the new UGA School of Medicine could help drive between $1.8 billion and $2.3 billion in cumulative economic benefits by 2040, according to an analysis by consulting firm Tripp Umbach.
Four takeaways from the analysis:
1. The medical school expects to graduate 708 students between 2030 and 2037, with up to 60% anticipated to stay in Georgia to practice, according to an Oct. 23 news release. The analysis projects these physicians will generate up to 5,700 jobs, $932.8 million in economic activity and $34.7 million in state and local tax revenue by 2024, according to the report.
2. About one-third of the graduating physicians slated to stay in Georgia to practice are expected to specialize in primary care. The analysis estimates that their practices will save $255.6 million and $457.2 million in healthcare costs due to various factors, including earlier diagnoses, better chronic care management and reduced reliance on emergency and specialty care.
3. University of Georgia's research funding from the National Institutes of Health will increase by up to $239.1 million with the new medical school, according to the analysis. This funding increase is expected to boost the economic benefits of the university's research to a total between $412.5 million and $550 million.
4. The medical school will generate an estimated $397.3 million annually through its operations, largely from job creation. The school expects to support about 953 direct jobs and 1,695 indirect jobs in Georgia by 2040.
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